How to Start Block and Cement Business in Nigeria (Plus Business Plan)
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One of the industries you can bet on these days is the building materials industry, the demand is ever rising as it is relative to the real estate industry is known to be sought by many investors, and what’s more the industry is not really saturated, this line of investment is literally hidden in plain sight.
The main building material used extensively in Nigeria, across all states, and fancied by everyone is the “cement block”, the product of this material on a large scale is sure to yield a profit if all strategies are put in place.
Making a cement block only involves mixing water, sand, and cement, gravel sometimes, to give a pasty texture that later strengthens after losing all moisture and is sun-dried to become strong enough to be able to be raised into walls, building, and any structure you can think of.
The viability of the industry can’t be questioned as it reflects in the immediate environment, new buildings are erected almost every month.
a. Create a Business Plan
This cannot be overemphasized, some entrepreneurs, naive and inexperienced (which disqualifies them from being termed with the word “entrepreneur”) jump headfirst into a venture without prior planning. If you cannot go about this yourself, reach out for the services of a business consultant.
The business plan should contain;
- Executive Summary
- Business Description
- Market Research
- Marketing Strategy
- SWOT Analysis
- Financial Analysis
All expenses must be factored into the business plan, this will help derive an accurate startup capital. It should be noted that this business is capital intensive and a high amount of capital should be expected within the #600,000 – #800,000 range.
Steps in Block Production
- Land Acquisition
All operations are carried out on land, it can be acquired by lease, rent, or purchase, a store should be erected for storing equipment and other things, and the location has to be accessible meaning the roads that lead to the location should be pliable, the land should be characterized with solid and dry soil and not swampy or waterlogged areas will affect the quality of the blocks.
- Water System
This is also needed in large volumes, sinking boreholes, digging wells, or getting large tanks to be filled by water delivered by water trucks.
The list of equipment used in this business are as follows;
- Generators (usually Diesel engines)
- Molder or Vibrating machine
- Wood Carriers
- Supply Truck
- Concrete Mixers
- Basic bricklaying tools
IS BLOCK AND CEMENT BUSINESS PROFITABLE?
Yes, the block and cement business is profitable. This sort of business cannot be maneuvered by one man, oust all thoughts of going solo in this instance! This business needs labor, mostly unskilled, to operate the machines and lift the block, a driver will be needed too for transferring the blocks to delivery points and the services of an accountant too might be needed.
Note, an opening site close to areas that are dense with population and busy roads is really advised. The blocks must be of quality and should be strong enough to withstand extreme environmental and weather conditions.
Marketing can be accomplished by getting listed on business directories, resorting to the use of media to promote the business (social media remains the cheapest means to do this).
Now that you know How to Start Block and Cement Business in Nigeria. Success in this venture is determined by hard work and strategic planning, the business is very profitable and can be scaled.
How To Download The Full Block and Cement Business Plan Template PDF (with financial analysis)
Above is a part of the block and cement business plan template in Nigerian. In case you need the complete greenhouse business plan, follow the procedures to download it.
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Thereafter, send us your email address through text message to +234 701 754 2853. The text must contain the title of the block and cement business plan you want and also your email address. Immediately after the confirmation of your payment, we will send the block and cement business plan in Nigeria to your email address where you can easily download it.